Debt

3 Months Ended

Mar. 31, 2022

The following table summarizes the components of the Company’s indebtedness as of March 31, 2022 and December 31, 2021 (dollars in thousands). The Company has no secured debt:


	March 31, 2022		December 31, 2021		Margin Above LIBOR	Interest Rate 1		Contractual Maturity Date

Unsecured Debt:
Unsecured Debt:
Credit Facility	$	—	$	—	1.0% 2	n/a		8/20/2025
5-Year Term Loan	100,000		100,000		1.2% 2	1.3	%	1/1/2027
$50M 7-Year Unsecured 3	50,000		50,000		n/a	4.2	%	9/1/2022
$100M 7-Year Unsecured 3	100,000		100,000		n/a	3.8	%	7/14/2024
$50M 10-Year Unsecured 3	50,000		50,000		n/a	4.0	%	7/7/2026
$50M 12-Year Unsecured 3	50,000		50,000		n/a	4.7	%	10/31/2027
$100M 7-Year Unsecured 3	100,000		100,000		n/a	2.4	%	7/15/2028
$100M 10-Year Unsecured 3	100,000		100,000		n/a	3.1	%	12/3/2029
$125M 9-Year Unsecured 3	125,000		125,000		n/a	2.4	%	8/17/2030
$50M 10-Year Unsecured 3	50,000		50,000		n/a	2.8	%	7/15/2031
Total Unsecured Debt	725,000		725,000




Total Unsecured Debt	725,000		725,000
Less: Unamortized premium/discount and debt issuance costs	(4,136)		(4,330)
Total	$	720,864	$	720,670

1Reflects the contractual interest rate under the terms of each loan as of March 31, 2022. See footnote (3) below. Excludes the effects of unamortized debt issuance costs and unamortized fair market value premiums, if any.

2The interest rates on these loans are comprised of LIBOR plus a LIBOR margin. The LIBOR margins will range from 1.00% to 1.45% (1.00% as of March 31, 2022) for the revolving credit facility and 1.15% to 1.65% (1.15% as of March 31, 2022) for the $100.0 million term loan, depending on the ratio of the Company’s outstanding consolidated indebtedness to the value of the Company’s consolidated gross asset value.

3Collectively, the “Senior Unsecured Notes”.

During 2021, a subsidiary of the Company entered into a Sixth Amended and Restated Senior Credit Agreement (the “Facility”) which consists of a $250.0 million revolving credit facility that matures in August 2025 and a $100.0 million term loan that matures in January 2027. Among other things, the Facility extended the maturity date of the revolving credit facility and the $100.0 million term loan. As of both March 31, 2022 and December 31, 2021, there were no borrowings outstanding on the revolving credit facility and $100.0 million of borrowings outstanding on the term loan.

The aggregate amount of the Facility may be increased to a total of up to $650.0 million, subject to the approval of the administrative agent and the identification of lenders willing to make available additional amounts. Outstanding borrowings under the Facility are limited to the lesser of (i) the sum of the $100.0 million term loan and the $250.0 million revolving credit facility, or (ii) 60.0% of the value of the unencumbered properties. Interest on the Facility, including the term loan, is generally to be paid based upon, at the Company’s option, either (i) LIBOR plus the applicable LIBOR margin or (ii) the applicable base

rate which is the greatest of the administrative agent’s prime rate, 0.50% above the federal funds effective rate, or thirty-day LIBOR plus the applicable LIBOR margin for LIBOR rate loans under the Facility plus 1.25%. The applicable LIBOR margin will range from 1.00% to 1.45% (1.00% as of March 31, 2022) for the revolving credit facility and 1.15% to 1.65% (1.15% as of March 31, 2022) for the $100.0 million term loan, depending on the ratio of the Company’s outstanding consolidated indebtedness to the value of the Company’s consolidated gross asset value. The Facility requires quarterly payments of an annual facility fee in an amount ranging from 0.15% to 0.30%, depending on the ratio of the Company’s outstanding consolidated indebtedness to the value of the Company’s consolidated gross asset value.

The Facility and the Senior Unsecured Notes are guaranteed by the Company and by substantially all of the current and to-be-formed subsidiaries of the Company that own an unencumbered property. The Facility and the Senior Unsecured Notes are not secured by the Company’s properties or by interests in the subsidiaries that hold such properties. The Facility and the Senior Unsecured Notes include a series of financial and other covenants with which the Company must comply. The Company was in compliance with the covenants under the Facility and the Senior Unsecured Notes as of March 31, 2022 and December 31, 2021.

The scheduled principal payments of the Company’s debt as of March 31, 2022 were as follows (dollars in thousands):


	Credit Facility		Term Loan			Senior Unsecured Notes			Total Debt
2022 (9 months)	$	—	$	—		$	50,000		$	50,000
2023	—		—			—			—
2024	—		—			100,000			100,000
2025	—		—			—			—
2026	—		—			50,000			50,000
Thereafter	—		100,000			425,000			525,000
Total debt	—		100,000			625,000			725,000
Deferred financing costs, net	—		(480)			(3,656)			(4,136)
Total debt, net	$	—	$	99,520		$	621,344		$	720,864
Weighted average interest rate	n/a		1.3		%	3.2		%	3.0		%